Saturday, March 27, 2010

The Generational Chain Of Trust

Adapted from a comment by Pappy G

There are no more intimate generational relationships than those which exist between members of a family; a parent and a child, a grandparent and a grandchild, etc.

Passing of family heirlooms, traditions, and values symbolizes the importance of these relationships. These precious moments represent the custodial responsibilities one generation has fulfilled in preserving, protecting and defending that which they received by way of inheritance from a previous generation.

When one generation fails to honor their responsibilities, the generational chain of trust is broken.

The current custodial generation received the chain of trust intact and, along with it, numerous opportunities. However, they are finding keeping the generational chain of trust intact overwhelming. For each billion dollars of new debt placed on the backs of their children and grandchildren, the chain weakens.

Nothing demonstrates the dramatic erosion of generational responsibilities better than the current entitlement abuse that began in 1935 with the enactment of Social Security. It has a long history of financial instability and every attempt to repair it has made things worse. Consider 1983, when 'Social Security Reform' legislation was signed into law. It was promoted as a plan to avert near-term Social Security bankruptcy and to fund long term stability. Taxpayers began overpaying their social security taxes by billions of dollars annually. With their over-payments deposited in a 'trust fund', most Americans believed they were doing their part in alleviating seniors' fears. And they were also sold the idea that they were responsibly preparing for the retirements of 78 million baby boomers.

With no choice in the matter, and in spite of significant financial hardships, millions of average Americans struggled to keep their end of the bargain. Politicians however, chose to renege on their end of the deal. From day one, they’ve spent every dollar of the excess Social Security 'trust fund', by transferring the money to the general revenue fund. Once co-mingled with other tax receipts, they lose their unique identity, allowing politicians to fund sweetheart deals for special interests.

Using Bernie Madoff sleight-of-hand deceit, politicians covered up their tax-and-transfer scheme by replacing excess Social Security 'trust fund' cash with special obligation bonds, or IOUs. These slips of paper are represented as assets on the Social Security 'trust fund' balance sheet. The IOU obligations created by this malevolent scheme will have to be paid again plus interest, and the amount owed already exceeds 2.5 trillion dollars, growing at the rate of several thousand dollars a second.

Some inheritance we're passing along.

How can swallowing another Kool-Aid cocktail served up by another political bloviator be considered a viable solution? The answer is: it can’t. The solution resides within the current custodial generation, and their willingness to speak up and reach out in a spirit of cooperation to the next generation. We must end the vigil of silence that permits politicians to violate the Constitution.

Why the Constitution? Because it is the highest law of the land and it was designed to limit government, not men. Over the years, the Constitution has been bastardized by Presidents, Congress and the courts. Far from limiting government, an infinite series of greedy, power-hungry politicians have interpreted the highest law to mean precisely what it does not say. They have squeezed, stretched and torn the law to allow the federal government to grow in size, scope and strength, in every direction, controlling virtually all human endeavors.

We must end the vigil of silence that's permitting politicians to financially enslave our children and grandchildren.

If you are a member of the current custodial generation, you have an obligation to restore the generational chain of trust while there’s still time; it simply cannot be passed along to the next generation with a broken link. We must return the rule of law to America.